Economic Recovery Plan 2020-2021 - TOWN OF WHITBY October 2020

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Economic Recovery Plan 2020-2021 - TOWN OF WHITBY October 2020
TOWN OF WHITBY
Economic Recovery Plan 2020-2021
October 2020

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Strategic Initiatives
Economic Recovery Plan 2020-2021 - TOWN OF WHITBY October 2020
Table of Contents
Executive Summary ........................................................................................................................................ 1
   We All Pulled Together ............................................................................................................................... 1
   Whitby Has a Plan....................................................................................................................................... 1
   Conclusion ................................................................................................................................................... 2
Introduction ...................................................................................................................................................... 3
Before COVID-19 Outbreak: Background Assessment .............................................................................. 4
Provincial Economic Recovery Framework .................................................................................................. 5
The Durham Business Support Ecosystem.................................................................................................. 6
Mobilization: COVID-19 Response ............................................................................................................... 8
   Durham Economic Task Force – COVID-19 Response Team ............................................................... 8
   Whitby’s Business Recovery Survey......................................................................................................... 9
   Labour Force Impact ................................................................................................................................ 10
   Real Estate Market Impact ...................................................................................................................... 11
Economic Recovery Plan ............................................................................................................................ 14
   Priority 1: Retain existing businesses by providing resources and support programs ...................... 16
   Priority 2: Revitalize Whitby’s downtowns by managing main street impact ...................................... 20
   Priority 3: Foster and sustain growth in the innovation economy ........................................................ 24
   Priority 4: Engage with the post-secondary institutions and other service providers to improve
   workforce employability ........................................................................................................................... 27
   Priority 5: Improve Whitby’s customer service processes and business experiences ...................... 29
Conclusion .................................................................................................................................................... 31
Appendix 1: Background Analysis .............................................................................................................. 32
Appendix 2: Business and Entrepreneurship Support Ecosystem.......................................................... 45
Appendix 3: Business Recovery Survey Results ...................................................................................... 50

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Economic Recovery Plan 2020-2021 - TOWN OF WHITBY October 2020
Executive Summary
Whitby’s economic development efforts have been focused on increasing local jobs, revitalizing
downtowns and continuing to be the “Community of Choice” by enabling a diverse, sustainable economy
that enhances the quality of life for residents and the business community.
When the World Health Organization declared the COVID-19 outbreak a global pandemic on March 11,
2020, Canadian health care policies were implemented immediately to try and prevent further spread of
the virus. These health care measures were unprecedented and resulted in severe economic
consequences as businesses were locked down, and citizens were asked to self-isolate.
Some industries were less impacted by the lockdowns and Whitby’s diverse industry base meant that
Whitby fared better than some other municipalities which are dependent on a single industry base. Many
of Whitby’s information technology and professional services companies continued to operate by working
from home. Many organizations, including the Town of Whitby, adopted the new “work-from-home” model
to ensure the continuation of essential services.
Before the COVID-19 outbreak, the Town of Whitby was in a relatively strong economic position with a low
industrial vacancy rate and a renewed vibrancy in our two historic downtowns. Significant growth was
happening in the West Whitby development and applications were moving forward for Brooklin and Port
Whitby.
Whitby’s location in the Greater Toronto Area places it as a prime tourist destination. Responding to the
advantage of location, Whitby developed many tourist friendly offerings and fun things to do. Whitby also
boasts several quality hotel locations, fine dining and a one-of-a-kind shopping experience in our two
historic downtowns. Business was booming.

We All Pulled Together
Economic development team members and others in the Durham Business Support Ecosystem mobilized
to respond to the economic fallout by creating the Durham Economic Task Force. This group was made up
of Durham Region’s Economic Development and Tourism team; all of Durham’s Chambers of Commerce
and Boards of Trade; local municipal economic development teams and local Business Improvement
Associations (BIAs). The Durham Economic Task Force identified three priorities:
      Advocate to the Provincial and Federal governments to respond to the urgent needs of our business
       community
      Provide our businesses with resources and information from all levels of government
      Promote Durham small businesses, particularly local stores, food and agri-businesses that are
       offering safe, no-contact delivery and pick-up options.
With a strong focus on public health and safety, the Province of Ontario released a three-stage framework
which outlined the method and principles to be used to reopen businesses, services and public spaces.

Whitby Has a Plan
Focusing on key priorities, the Whitby plan for recovery is to:
   1. Retain existing businesses by providing resources and support programs

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Economic Recovery Plan 2020-2021 - TOWN OF WHITBY October 2020
2. Revitalize and rediscover Whitby’s downtowns and manage the main street impact –
   3. Foster and sustain the innovation economy
   4. Engage with post-secondary institutions and other service providers to improve workforce
      employability –
   5. Improve customer service processes and business experiences.
The timing for the associated actions that serve to implement the Recovery Plan are categorized as
immediate (IT) (immediate to 6 months); short term (ST) (6-12 months); and medium term (MT) (12-18
months). Some of the actions are in-progress and some have already been completed.

Conclusion
This plan is meant to be fluid, reacting quickly to the evolution of the COVID-19 pandemic. New actions
and initiatives may need to be added to account for these evolving conditions in response to the health
and safety of residents. This recovery plan can be implemented with existing staff and financial resources
for 2020 and 2021.

Despite these present and short term health care and economic conditions, there is a need for a longer
term Economic Development Strategy to accelerate business growth post-COVID-19 that builds upon these
recovery efforts. The formulation of this strategy requires input from business community members and
needs to examine a sustainable and prosperous economic future for the subsequent five years.

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Economic Recovery Plan 2020-2021 - TOWN OF WHITBY October 2020
Introduction
Whitby’s economic development efforts have been focused on increasing local jobs, revitalizing
downtowns and continuing to be the “Community of Choice” by enabling a diverse, sustainable economy
that enhances the quality of life for its residents and business community. When the World Health
Organization declared the COVID-19 outbreak a global pandemic on March 11, 2020, Canadian health
care policies were implemented immediately to try and prevent further spread of the virus. These health
care measures were unprecedented with economic consequences as a result of lock-downs, self-isolation
and other preventative measures. However, Whitby’s diverse economy meant that certain industries
would be less impacted in our community compared to other communities more dependent on single
industries. For example, communities reliant on tourism based industries such as accommodation, food
and beverage services, and entertainment would be impacted by lock-downs and health care measures.
Many of Whitby’s information technology and professional services companies could continue to work from
home. Manufacturers, logistics and transportation companies (among others) were declared essential
services by the Province of Ontario and could carry on operating with health care measures in place.
Whitby’s immediate economic development attention is to support reopening and recovery and a
sustainable economic future.
This Economic Recovery Plan is built on the following framework:
       Before COVID-19 Outbreak: Background Assessment – This section provides an assessment of the
       local economic, demographic and municipal characteristics prior to the outbreak.
       Provincial Economic Recovery Framework – This section describes the Province’s recovery
       framework and stages for reopening the economy. These stages shape local recovery efforts.
       Durham Business Support Ecosystem - There are several business support organizations in Durham
       Region that focus on business retention and expansion. Each of these organizations has a role to
       play as Durham’s economy reopens and progresses through each of the Provincial stages.
       Mobilization: COVID-19 Response – This section identifies early measures in response to the
       economic fallout and quantifies the labour force and real estate impact during the first half of
       2020.
       Economic Recovery Plan Action Items – This section outlines the activities that will be undertaken
       to help the Whitby business community adapt and recover by working with other business support
       organizations. This outbreak has evolved considerably over the first half of 2020 and it is important
       to adapt to circumstances as they change.
       Conclusion – This section concludes the Economic Recovery Plan and lays the framework and
       discussion for a longer term Economic Development Strategy.

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Economic Recovery Plan 2020-2021 - TOWN OF WHITBY October 2020
Before COVID-19 Outbreak: Background Assessment
Before the COVID-19 outbreak, the Town of Whitby was in a relatively strong position. Whitby’s industrial
vacancy rate was at a record low of 1 percent, there was renewed vibrancy in our two historical downtowns
with recent and planned development projects. Significant growth was being built in west Whitby and
development applications were planned for Brooklin and Port Whitby. Planning tools such as land servicing
agreements have been established to create serviced land in west Whitby. These tools have proven to be
effective and generated business expansion interest in this employment land area. For example, the
Oshawa Clinic Group has acquired a serviced land parcel in west Whitby for their expansion plans. If this
property was un-serviced, its marketability for business expansion use would have been reduced
significantly.
Whitby is becoming a strong tourism hub in the Greater Toronto Area with a depth of offerings. These
offerings included a walkable waterfront and harbor, two conservation authorities for outdoor recreation,
and entertainment business investment (e.g. Playdium, iFly Toronto). Construction is also well underway
for Le Nordik Spa, the only urban spa of its kind in the Greater Toronto Area.
A demographic, economic and business background assessment was undertaken to better understand the
resident and business community prior to the COVID-19 outbreak being declared a pandemic by the World
Health Organization in March 2020. Demographic and economic data was collected from Statistics
Canada along with a dataset from Manifold Data Mining Inc. to supplement more recent data. Additional
materials have been gathered from the World Council on City Data Indicators for Sustainable Development
initiative and the Durham Workforce Authority. Indicators from the 2019 Economic Development Annual
Report prepared for Town Council were also referenced. These data
sources enabled a comprehensive and up-to-date understanding of
demographic, industry and employment indicators for the Town of
Whitby. Further details about the data results are available in
Appendix 1: Background Analysis. The key findings that emerged from
the analysis are:
      Population growth will continue in the future. The households
       in Whitby’s population base tend to have a higher amount of
       disposable income than other communities in Ontario.
      There are large concentrations of the labour force working in
       the energy and education services sector, which are driven by
       the proximity to Ontario Power Generation and post-secondary
       schools (e.g. Ontario Tech University, Durham College, and
       Trent University-Durham Campus).
      Whitby has been strong and growing as a result of being a
       desired place to live in the Greater Toronto Area.

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Economic Recovery Plan 2020-2021 - TOWN OF WHITBY October 2020
Provincial Economic Recovery Framework
On April 27, 2020 the Province of Ontario released a three-stage framework which outlined the method
and principles to be used to reopen businesses, services and public spaces. For each stage, public health
and safety is the leading concern. 1
The Province’s guiding principles to reopen the economy
are based on the following:
        Responsible – guided by public health advice to
         protect the most vulnerable and at risk.
        Evidence-informed - defined criteria and consistent
         measures.
        Resourced – sufficient health system capacity to
         respond to any new outbreaks.
        Monitored – a timely and rigorous testing process.
        Responsive and effective – measures could be
         introduced quickly.
        Clear – there are clear plans and responsibilities for
         individuals, employers and the health care system.
Key considerations for each stage are as follows:
        Stage 1 – opening select workplaces that can meet
         current public health guidelines; allowing essential
         gatherings of a limited number of people; opening
         some outdoor spaces. Hospitals would also begin to
         offer some non-urgent and scheduled surgeries and
         other health care services.
        Stage 2 – opening more workplaces with significant
         mitigation plans, which may include some service industries and additional office and retail
         workplaces, opening more public spaces; allowing some larger public gatherings.
        Stage 3 – opening workplaces responsibly, relaxing restrictions on public gatherings and allowing
         full services to resume.
Throughout each stage, continued protections for vulnerable populations must be in place along with the
continued practice of physical distancing, hand washing and respiratory hygiene to limit health risks. The
Province announced in May, 2020, Ontario would be in Stage 1 of the reopening of businesses, services
and public spaces. Province of Ontario announced the Durham Region would move to Stage 2 on June 19,
2020 and Stage 3 on July 24, 2020. The dates were dependent upon how this health care crisis evolved
on a Regional basis. Business support organizations, which includes the Town of Whitby, needed to be
cognizant of these guiding principles and stages and adapt programming accordingly.

1Reopening Ontario after COVID-19, Province of Ontario, https://www.ontario.ca/page/reopening-ontario-after-covid-19,
published on April 27. 2020.

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The Durham Business Support Ecosystem
The Durham Business Support Ecosystem includes a variety of organizations that aim to support business
growth locally and across the Region. Of the many organizations. Whitby works very closely with the Whitby
Chamber of Commerce, Downtown Whitby BIA and 1855 Whitby Tech Accelerator. Each of these business
support partners play a crucial role in our economic development and recovery efforts.
Whitby Chamber of Commerce – The Chamber has a long history in Whitby and acts on behalf of its
members as a dominant voice within the business community, advocating for legislative and policy
change. It drives local economic growth and professional development, serving a variety of economic
sectors. Most of the membership base are small companies of less than 50 employees.
Downtown Whitby Business Improvement Area (BIA) – Downtown Whitby’s BIA is in a specially designated
zone in the downtown core that was established in 2017. Its 300 member businesses contribute to a
program that helps build awareness of product and service offerings and activities to experience in the
downtown.
1855 Whitby Tech Accelerator - 1855 Whitby is a vital partner for Whitby’s innovation economy. This
organization was co-created by the Town of Whitby and Jason Atkins, CEO of 360insights.com in 2019.
1855 Whitby provides support for established high-potential tech and innovation companies to accelerate
growth and land within the community. This organization has collaborated with the Town of Whitby’s
economic development team on a variety of projects including investment missions, events, programming
and other initiatives that support the growth of the Downtown Whitby Innovation District.
Aside from the Whitby Chamber of Commerce, Downtown Whitby BIA and 1855 Whitby, there are several
business support organizations in Durham Region that service business expansion and growth. Each of
these organizations has a role to play as Ontario’s economy reopens after the COVID-19 outbreak is
contained. Some additional organizations that contribute to Durham’s business support ecosystem are in:
      Non-profit sector – Composed of organizations funded by members and programs or government
       programs (i.e. Business Advisory Centre Durham, Spark Regional Innovation Centre, Spark Angel
       Network, John Howard Society of Durham Region, Durham Region Unemployed Help Centre, Central
       Counties Tourism, and Palette Skills).
      Academic sector – Composed of Durham College and Ontario Tech University’s research and
       entrepreneurship programs. Trent University – Durham Campus has also expanded its programs
       over the past few years. Whitby companies can access these academic resources to solve
       engineering or science challenges and/or to hire students to complete business projects.
      Federal, provincial and regional governments – Composed of federal crown corporations such as
       the Business Development Bank of Canada and Export Development Bank of Canada, agencies
       such as FedDev Ontario and National Research Council of Canada. A considerable amount of
       funding programs have been created in response to the economic fallout from COVID-19. Many of
       the business support programs are delivered through these crown corporations and agencies.
       FedDev Ontario is one of the six Canadian regional development agencies that implements the
       Regional Relief and Recovery Fund, a $962 million support fund for businesses across Canada

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impacted by COVID-19.2 Ontario Centres of Excellence is a provincially funded agency with a
        mandate to advance Ontario’s innovation agenda. In the past, one of the key goals of the Region’s
        Economic Development and Tourism department is to attract new foreign direct investment to
        Durham. Given the investment attraction challenges presented by COVID-19, their focus may need
        to shift to support businesses across the Region.
Further details about the business and entrepreneurship support services offered by each organization are
provided in Appendix 2. Any economic recovery plan that is implemented requires contribution from a
combination of a number of these business support organizations.

2Regional Relief and Recovery Fund: COVID-19, Government of Canada,
https://www.ic.gc.ca/eic/site/icgc.nsf/eng/h_07682.html last updated on May 29, 2020.

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Mobilization: COVID-19 Response
Economic development team members and others in the business support ecosystem mobilized early in
the pandemic to respond to economic fallout.

Durham Economic Task Force – COVID-19 Response Team
The Durham Economic Task Force is made up of Durham Region’s Economic Development and Tourism
team; Business Advisory Centre of Durham; all of Durham’s Chambers of Commerce and Boards of Trade;
as well as local municipal economic development teams and local Business Improvement Associations
(BIAs). The Durham Economic Task Force’s priorities are to:
      Advocate for the urgent needs of our business community to the Provincial and Federal
       Governments.
      Provide resources and information from all levels of government to businesses.
      Guide small businesses through the process of accessing emergency financial assistance.
      Develop and implement support programming for impacted businesses.
      Promote Durham small businesses, particularly local stores, food and agri-businesses who are
       offering safe, no-contact delivery and pick-up options.
A Durham Business Recovery Series was created
and began in early May 2020. To date, the following
sessions have addressed: mental health; navigating
government funding programs; navigating new
business practices; human resource processes; and
e-commerce practices.
In addition, this task force led two business surveys
early in the COVID-19 outbreak to understand the
severity of this health crisis to the business
community. Key insights from the results showed
an overwhelming impact to the business
community. Small businesses were most impacted early into the pandemic. Over fifty percent of the
businesses would either shutdown or partially shutdown from the health crisis measures to control the
outbreak. In addition, over fifty percent of the business community respondents did a layoff of staff.
In May, there was a subsequent business survey conducted by this task force. Key insights from this
survey were:
      Nearly 50% of survey respondents report major or catastrophic impacts to their businesses.
      Biggest barriers to recovery were potential for a second wave, cash flow financial implications and
       operating with physical distancing restrictions.
      Key stimulus strategies included expanding high-speed Internet access and supporting local
       initiatives.

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   Nearly three quarters of respondents are changing their workplace safety measures.
      43% of respondents were estimating up to six months of business recovery and another one-third
       were estimating up to 12 months recovery.
In May 2020, sector roundtables were arranged with key companies in Durham Region. These roundtables
offered the business community a chance to provide feedback on what efforts and programs were
required for business recovery and share ideas among one another.
Durham Region approved a Regional Recovery Framework and Action Plan in June 2020, which was driven
by a Regional Recovery Task Force. This Regional Task Force included members of the Durham Economic
Task Force and addressed four pillars of recovery: social, built, economic and municipal. A set of 50 action
items were identified and focused on the potential for job creation, community health and safety,
restoration of services, support for businesses, and for vulnerable residents and long-term sustainability.
More specifically, the economic pillar addressed the following actions:
      support small business growth
      enable infrastructure development
      attract investment in the energy, environment and engineering industry and innovation community
      enable Smart Community projects
As the summer months progressed, the number of COVID-19 cases declined and eventually stabilized in
Ontario. However, as of early October 2020, the number of cases are dramatically increasing as we enter
the second wave. There remains little immunity to the virus and no vaccine. Further advocacy is required
by this group to define what conditions could trigger another lockdown.

Whitby’s Business Recovery Survey
Whitby’s economic development team along with members of Council garnered input to a business survey
over the months of June to early September 2020. Sixty-five (65) responses were gathered during this
time. Key insights from this survey were:
      Survey respondents were well represented in food services (20, or 31% of respondents) and
       professional, scientific and technical services (17, or 26% of respondents).
      Surveys were also completed by respondents in personal services, retail trade and health care.
      The number of business owners who completed the survey were largely represented in the 0-20
       employee category (57, or 88%).
      Fifty respondents (50, or 77%) indicated a moderate (14) or major (36) negative impact to their
       business due to the COVID-19 pandemic.
      Of all the barriers listed, the top three barriers to economic recovery are the potential for a second
       wave (50, or 77%), cash flow implications (44, or 66%) and increased costs associated with
       compliance (39, or 60%).
      The most common responses for a full business recovery from summer 2020 to pre-COVID-19
       conditions were 6 – 12 months (20, or 31%) and more than 12 months (21, or 32%).

The following themes emerged from the comments.

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   For businesses significantly impacted by COVID-19:
             o many are taking services online and finding new ways to create income
             o many will be challenged to cover rent and taxes over the short term
             o many of them are recommending that government bodies should be issuing compliance
                warnings and/or educating them about regulatory requirements
        Some businesses have not been impacted by COVID-19 and their revenues have either stayed
         strong or increased from the previous year
        There is a lot of negative attention placed on COVID-19. People need to understand and focus on
         the population’s resiliency to this virus
        Health and safety restrictions and guidelines, while they may be necessary, are making businesses
         unprofitable. These restrictions are especially true for restaurants, entertainment, and personal and
         aesthetic service businesses.
Further details from the survey are in Appendix 3: Business Recovery Survey Results.

Labour Force Impact
The COVID-19 pandemic immediately disrupted Canada’s labour force. Travel restrictions, business
closures and physical distancing measures imposed by the Canadian government soon after created a
sudden shock to the economy. Across Canada, the unemployment rate shot up to 12.3% by June 2020.
Comparatively, Canada’s unemployment rate was 5.6% in June 2019. With nearly 2.5 million people
unemployed across Canada, emergency relief measures have been implemented federally and funding
was dispersed to those who became unemployed.3
The following table illustrates the labour force impact of the COVID-19 virus. By using June 2019 as a
baseline, there were 12,000 fewer people in the labour force and 26,400 fewer people employed in the
Oshawa Census Metropolitan Area (CMA) in 2020.4 Despite the job losses, the Oshawa CMA has shown
resiliency as over 200,000 jobs remained and an unemployment rate stayed under twelve percent (12%)
despite the virus and its labour force impact. The majority of the loss in employment was from full-time
jobs (-14,800 or 7.9%), but also a sizable number of part-time jobs (-11,600 or 30%) were lost too. The
short term job losses in part-time employment indicates that people employed in vulnerable, casual roles
were at greater risk of losing their jobs early into the pandemic.

3 Statistics Canada. Table 14-10-0017-01- Labour force characteristics by sex and detailed age group, monthly, unadjusted for
seasonality.
4 The Oshawa CMA includes the Town of Whitby, City of Oshawa and Municipality of Clarington.

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Table 1: Labour Force Characteristics: Oshawa Census Metropolitan Area
                                     June 2019           March 2020       June 2020     Total Change          % Change
                                                                                                               June 2019-
                                                                                       June 2019-2020
                                                                                                                    2020

    Population                          344,900              350,000       351,200              6,300                  1.8%

    Labour Force                        238,700              233,400       222,600            -12,000              -5.0%

    Employment                          227,000              217,000       200,600            -26,400             -11.6%

            Full-time                   188,300              174,600       173,500            -14,800              -7.9%

            Part-time                    38,700               40,000        27,100            -11,600             -30.0%

    Unemployment                         11,700               18,900        26,200             14,500            123.9%

    Not in Labour Force                 106,200              116,600       124,500             18,300             17.2%

    Unemployment Rate                       4.9%                 8.1%        11.6%               6.7%

Source: Statistics Canada. Table 14-10-0095-01 Labour force characteristics by census metropolitan area, three-month
moving average, unadjusted for seasonality.

Real Estate Market Impact
Industrial – The demand for industrial space in the east end of the Greater Toronto Area (i.e. Durham
Region) was very high prior to the COVID-19 pandemic outbreak. The overall availability rate in Durham
Region was at an all-time low at 1.2% and average asking net lease rates were a strong $7.29 per sq. ft.5
Industrial space in Whitby was declining as Amazon leased 354,000 sq. ft., the largest new deal at the end
of 2019 and marking the company’s entrance into
Durham Region. There was also a large 385,000 sq. ft.
industrial project along Tricont Avenue that was
preleasing. The industrial market has shown resiliency
during the pandemic. CoStar Realty Research is
forecasting a vacancy rate to adjust to 1.9% by the first
quarter of 2022.6 This adjustment is likely due to
many smaller companies lacking cash reserves to get
                                                           Carterra’s industrial development project
them through this economic downturn. A continued
                                                           along Tricont Avenue, February 2020.
low vacancy rate indicates that there will be a demand
again for industrial space, past 2021.

5   Avison Young, Fourth Quarter 2019 / Industrial Market Report, p.2.
6   CoStar Realty Research, custom industrial market search, July 2020.

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Office – The office market inventory in Whitby has remained relatively stable over the past few years. It is
estimated that there is 1.5 million sq. ft. of office space inventory in Whitby with a healthy vacancy rate of
2.7%. In comparison, the Greater Toronto Area (which includes Whitby) has 272 million sq. ft. of office
space inventory with a vacancy rate of 4.5%. 7
Whitby is a small office market and represents less
than one percent of the entire office market of the
Greater Toronto Area. CoStar Realty Information is
forecasting vacancy rates to trend over 4.0% and
market rental rates to return to pre-COVID-19 rates
by the first quarter of 2022.8 It is reasonable for
companies that require office space to re-evaluate
their office needs when their leases come due.
Many of their employees are working from home or
have fewer employees. These companies may
require less office space in the future. This
presents an economic development opportunity
for Whitby as companies with offices in large
urban centres like Toronto may turn to smaller            Brookvalley’s commercial and retail development
offices closer to labour in suburban areas like           project along Baldwin Street, July 2020.
Whitby.
Residential - On a year-over-year basis, residential transactions in Durham Region decreased considerably
during May in comparison to the same time last year. The number of sales reported represented a
decrease of forty five percent (45%) in Whitby for all home types. It is positive to note the average selling
price in Whitby has increased to $736,640 for all home types.9
The full impact of the housing market remains unknown at this time. For Whitby, the housing market has
shown considerable resiliency when comparing sales and average selling prices in May 2019 to May 2020
(Table 2). The volume of house sales may have declined in each major category year-over-year, but
average house prices have increased in each of categories (i.e. detached, semi-detached and attached/
row /townhouse).

7 CoStar Realty Information Inc., custom office market search in May 2020.
8 CoStar Realty Information Inc., custom office market search in July, 2020.
9 Durham Region Association of REALTORS®, Housing Report, May, 2020.

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Table 2: Monthly Housing Sales for three common home types, Town of Whitby, May 2019 and 2020
Comparison

                        May 2019                     May 2020

 Housing              No. of      Average          No. of      Average      % Change    % Change
 Type                 Sales          Price         Sales          Price      in Sales     in Price

 All Home              242     $681,446              132     $736,640            -45%         8%
 Types

 Detached              171     $747,300               97     $802,190            -43%         7%

 Semi-                     9   $539.510                 4    $606,875            -56%        12%
 Detached

 Attached/               35    $553,222               15     $600,293            -57%         9%
 Row/
 Townhouse

Source: Durham Region Association of Realtors, Housing Report, May 2019 and May 2020.

The collaborative and coordinated response among Durham Region municipalities, boards of trade,
chambers of commerce and others to mobilize and create the Durham Economic Task Force has proven to
be effective during this crisis. The members have been able to advocate for businesses as a collective to
the provincial and federal governments and offer business support programming by tapping into their
resources network. This agility to navigate and influence other levels of government at a critical point in
time during the COVID-19 health crisis demonstrates that there is continued value with this group for
economic recovery programming.
The labour force in the Oshawa CMA has shown resiliency with over 200,000 jobs remaining despite the
COVID-19 health crisis. The negative impact to the labour force left over 26,200 people in the Oshawa
CMA unemployed. The Federal government responded quickly in March 2020 with an income support
program - the Canada Emergency Response Benefit. This program would alleviate the stress for eligible
workers who stopped working due to COVID-19. This program was modified and extended into September
2020. These modifications are most likely a result of advocacy efforts from local groups such as Durham
Economic Task Force and others across Ontario and Canada. For Whitby and the surrounding area to
recover from the job losses requires a plan that addresses improving the employability of people affected
by the economic fallout.
Although it is too soon to gauge the full economic impact, businesses have always had to adapt to
changing market demands and pressures to remain viable. There is a need to understand the number of
businesses remaining and new ones created for 2020 and 2021 and how this business data compares to
prior years. An immediate to medium term response from economic development and business
organizations requires a tactical economic recovery plan that addresses the local economic fallout.

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Economic Recovery Plan
As the COVID-19 pandemic developed, it became clear that an Economic Recovery Plan needed to be
implemented over a short time period (i.e. within 18 months). The Economic Recovery Plan is a ‘living
document’ and can be modified readily with new challenges and solutions that may arise. Five key
priorities emerge and require a tactical response in discussions with business owners, other business
support organizations, and the Durham Economic Task Force. These five priorities are intended to anchor
and qualify all subsequent actions. The associated objectives support the overarching economic
development focus prior to COVID-19, which is to address the creation of more local jobs, revitalize
downtowns and continue to be the “Community of Choice” by enabling a diverse, sustainable economy.
These key priorities of a COVID-19 economic recovery are:
   1. Retain existing businesses by providing resources and support programs – Many business owners
      and representatives of business support organizations state that businesses won’t be “turning back
      to normal”. There will be a “new normal” where businesses have changed their product and
      service offerings and the way they deliver these products and services.

      Objective: Provide existing businesses with the tools and resources to succeed during and after
      COVID-19.

   2. Revitalize and rediscover Whitby’s downtowns and manage the main street impact – Downtown
      businesses were significantly impacted by COVID-19 public health provisions and Provincial
      closures. Many of the businesses closed temporarily or offered product/service delivery with
      reduced staff. Most recently, business expenses remain high and for many of them revenues are
      down. Downtown businesses could be at risk of closing under these public health requirements.

      Objective: Restore attractive downtowns to rediscover the shops, services, heritage, and culture in a
      pedestrian-friendly environment.

   3. Foster and sustain the innovation economy – Many of the companies in the innovation economy
      and technology sector are start up or scale up companies. Their business value is in their
      intellectual property and founders. Typically, these businesses are new and may not qualify for the
      federal and provincial COVID-19 response programs. For example, the National Research Council
      of Canada’s Industrial Research Assistance Program or Business Development Bank of Canada’s
      programs require business financial statements to ensure business viability prior to providing
      funding or offering financing to companies. However, it is important to recognize that these
      companies create new employment opportunities, can adapt to changing market demands and
      create new business ventures during moments of economic crisis.

      Objective: Collaborate with 1855 Whitby Tech Accelerator and innovative businesses (e.g.
      360insights.com, geekspeak Commerce) to restore growth and investment in our Innovation
      District and local economy.

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4. Engage with the post-secondary institutions and other service providers to improve workforce
      employability – The post-secondary institutions (i.e. Ontario Tech University, Durham College and
      Trent University – Durham) are key anchors in Durham Region that will help drive the economic
      recovery process. These institutions and other service providers can offer educational programming
      that can re-skill or upskill people in the labour force who are faced with economic hardships.

       Objective: Promote educational programming that meets demands of local employers.

   5. Improve customer service processes and business experiences – This COVID-19 crisis has
      presented an opportunity for Whitby to improve its processes further to respond quickly to
      customers. For example, business resources were quickly curated and available on the main Whitby
      website, and the Town quickly shifted key services online. Business success story telling during the
      health care crisis has been developed in the immediate term as well and shared through Whitby’s
      economic development social media channels.

       Objective: Reassess previous customer experiences, align corporate objectives and modify larger
       corporate processes where appropriate.

The successful implementation of the Economic Recovery Plan will need the support and cooperation of
the corporation and the business support organizations identified earlier in the report to ensure a stronger
and more resilient business community when COVID-19 passes.
The timing for the associated actions that serve to implement the strategy are categorized as immediate
(IT) (immediate to 6 months); short term (ST) (6-12 months); and medium term (MT) (12-18 months).
Some of the actions are also complete or in-progress.
The identification of leads and internal/external partners is included to provide direction for who is
responsible for each action and which other organizations need to be involved in carrying the action
forward. This recovery plan can be implemented with existing staff and financial resources for 2020 and
2021.

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Priority 1: Retain existing businesses by providing resources and support
programs
Objective: Provide existing businesses with the tools and resources to succeed during and after COVID-19
.

 Number Action                                       Lead/Partner                    Timing

                                                                          IT         ST         MT
                                                                          (
Number Action                                     Lead/Partner                    Timing

                                                                       IT         ST       MT
                                                                       (
Number Action                                      Lead/Partner                   Timing

                                                                       IT         ST       MT
                                                                       (
Number Action                                      Lead/Partner                     Timing

                                                                        IT          ST         MT
                                                                        (
Priority 2: Revitalize Whitby’s downtowns by managing main street impact
Objective: Restore attractive downtowns to rediscover the shops, services, heritage, and culture in a
pedestrian-friendly environment.

 Number     Action Item                               Lead/Partner                     Timing

                                                                           IT          ST         MT
                                                                           (
Number   Action Item                               Lead/Partner                  Timing

                                                                      IT         ST       MT
                                                                      (
Number     Action Item                               Lead/Partner                  Timing

                                                                        IT         ST       MT
                                                                        (
Number     Action Item                              Lead/Partner                   Timing

                                                                        IT         ST       MT
                                                                        (
Priority 3: Foster and sustain growth in the innovation economy
Objective: Collaborate with 1855 Whitby Tech Accelerator and innovative businesses (e.g.
360insights.com, geekspeak commerce) to restore growth and investment in our Innovation District and
local economy.

 Number Action Item                          Lead/Partner                         Timing

                                                                  IT         ST            MT
                                                                  (
Number Action Item                          Lead/Partner                         Timing

                                                                 IT         ST            MT
                                                                 (
Number Action Item                          Lead/Partner                           Timing

                                                                  IT           ST              MT
                                                                  (
Priority 4: Engage with the post-secondary institutions and other service
providers to improve workforce employability
Objective: Promote education programming that meets demands of local employers.

 Number Action Item                          Lead/Partner                          Timing

                                                                   IT         ST            MT
                                                                   (
Number Action Item                         Lead/Partner                           Timing

                                                                  IT         ST            MT
                                                                  (
Priority 5: Improve Whitby’s customer service processes and business
experiences
Objective: Reassess previous customer service processes as it relates to our corporate objectives and
modify larger corporate processes where appropriate.

 Number Action Item                               Lead/Partner            Timing

                                                                          IT          ST        MT
                                                                          (
Number Action Item                              Lead/Partner           Timing

                                                                       IT         ST       MT
                                                                       (
Conclusion
This Economic Recovery Plan for 2020 and 2021 will only be successful with implementation of the
actions and accountability of its performance. To ensure accountability, it is vital to identify and make best
use of the resources available among Whitby’s Economic Development team and business support
organizations. Collaboration has been a key component of the COVID-19 response since March 2020. The
Durham Economic Task Force has been a key example of Durham’s local chambers of commerce and local
municipalities working together to respond to immediate business challenges. Federal and provincial
governments responded immediately with income support and business support programs.
Any business recovery programming needs to be aligned with the Province’s Economic Recovery
Framework. This three stage process places the health and safety of residents as the top priority.
Although Durham Region public health unit is in Stage 3, there needs to be further reduction in cases.
Economic recovery is underway in Whitby. Further recovery needs to be intentional, collaborative and
equitable among business support organizations over the next 18 months.
A full economic recovery will require access to child care and a full re-opening of schools.
Council’s role is to continue to engage with the business community, ensure resources (staff and financial)
are available at the Town of Whitby to respond to economic recovery, and ensure Town policies (e.g.
parking, Pedestrian drop-off zones, etc.) enable businesses to carry on through 2020 and 2021.
In addition, this plan is meant to be fluid and may need to evolve as the COVID-19 pandemic evolves. New
actions and initiatives may need to be added to account for these evolving conditions in response to the
health and safety of residents. Despite these present and short term health care and economic conditions,
there is a need for a longer term economic development strategy to accelerate business growth post-
COVID-19 that builds upon these recovery efforts. The formulation of this strategy requires input from
business community members and needs to examine a sustainable and prosperous economic future for
the subsequent five years.

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Appendix 1: Background Analysis
Demographic Analysis
Population - The Town of Whitby has experienced strong population growth over the past decade. Whitby’s
population increased from 122,022 residents in 2011 to an estimated 137,733 residents in 2019. This
increase of 15,711 residents (13% growth) in less than a decade has led to significant residential
development during the time period. With this growth, there are associated challenges in ensuring
effective service delivery and sustainable use of land area. The Town of Whitby’s Official Plan identifies the
need for greater concentration of land uses in Whitby and higher densities of jobs and people to
accommodate a forecasted population of 192,800 residents by 2031. 10 The figure below provides the
population projections for Whitby through to 2031.

Figure 1.1.: Population Projections, 2021 to 2031

 Year                                   Population

 2021                                     156.915

 2026                                     179,150

 2031                                     192,800

Source: Town of Whitby Official Plan, 2018 Office Consolidation, p.5.

It is important to note the impact population growth can have on the Town of Whitby. The development
charges and community benefit charge (CBC) study is underway and planned to be completed in 2021.
The Town-wide development forecast for the 2021 Study projects a population increase from 2021 to
2031 of over 33,000 people.11 Historically, development charges have not fully paid for new growth and
the tax base has covered much of the difference. The recent changes to the Development Charge Act will
put increased pressure on the Town to fund new residential growth while managing effective service
delivery.

10   Town of Whitby Official Plan, 2018 Office Consolidation, p. 5.
11   Town of Whitby Staff Report, Development Charges Background Study Update (Revised), (CS 33-20), July 20, 2020

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Population by Age Cohort - As the next figure indicates, Whitby will not only have to address the challenges
of a growing population, Whitby will also have to face the challenges of retaining its young population.
While Whitby remains a young community and has 20% of its population under the age of 15 and 14% of
its population 15 to 24 years of age (Ontario is lower at 16% and 12% respectively), there needs to be an
effort to keep this population engaged locally and motivated to stay in the community or region and fill
employment opportunities over the coming years.

Figure 1.2: Population by Age, 2019

                                            20%
                                            18%
           Percentage of Total Population

                                            16%
                                            14%
                                            12%
                                            10%
                                            8%
                                            6%
                                            4%
                                            2%
                                            0%
                                                  Less than   15-24   25-34    35-44     45-54   55-64   65+
                                                     15
                                                                      Whitby   Ontario

Source: Manifold Data Mining Inc., February 2020.

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Population with Income over 15 years of age - The following figure indicates that in the Town of Whitby
much of the population are in households earning over $100,000 in annual income. The proportion of
income brackets over $100,000 are higher in Whitby than the Province of Ontario.

Figure 1.3: Population with income over 15 years of age

                                           20%
           Percentage of population with
            income over 15 years of age

                                           18%
                                           16%
                                           14%
                                           12%
                                           10%
                                            8%
                                            6%
                                            4%
                                            2%
                                            0%
                                                  Under    $25,000 to $50,000 to $80,000 to $100,000   $125,000   $150,000   $200,000
                                                 $25,000    $49,999    $79,999    $99,999      to         to         to      and over
                                                                                            $124,999   $149,999   $199,999

                                                                         Whitby       Ontario

Source: Manifold Data Mining Inc., February 2020.
The higher proportions of households earning over $100,000 of income in Whitby compared to the
Province indicates higher disposable income and is driven by proximity to the Greater Toronto Area.
Residents will have more income to support service-based industries such as restaurants, entertainment
and recreation facilities, and health and wellness companies.

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Knowledge of other languages - The familiarity with other languages except English or French in a
community indicates ethnic diversity. The value of diversity cannot be underestimated. Academic research
by notable scholars such as Richard Florida and others confirm that a diverse community generates social
and economic prosperity. A diverse community indicates an openness to newcomers, new businesses and
new ideas. A diverse community is also highly correlated with its ability to attract talent and innovative
businesses, which drive business productivity. Having citizens from a wide range of ethnic backgrounds
also generates access to new economic opportunities, which can include new business networks or export
markets.
There are large populations in Whitby that are familiar with other languages which indicates local diversity.
The following table indicates that the Whitby population is most commonly familiar with Italian, Spanish
and Urdu (commonly spoken in Pakistan) languages. Across the Province, Mandarin and Cantonese are
most commonly spoken followed by Spanish.
In terms of the population familiar with Indigenous languages, there is a small population of over 100
residents. These languages are at risk of disappearing if the Indigenous culture is not passed on to the
next generation.

Figure 1.4: Top 10 Languages other than English or French
      Top 10 - Knowledge of other languages
      Ontario                            Whitby                      Number
                                                                          of
                                                                      people
  1   Mandarin                          1   Italian                    2,427
  2   Cantonese                         2   Spanish                    2,382
  3   Spanish                           3   Urdu                       2,352
  4   Italian                           4   Mandarin                   1,561
  5   Punjabi                           5   Hindi                      1,507
  6   Hindi                             6   Farsi                      1,300
  7   Arabic                            7   Filipino                   1,272
  8   Urdu                              8   Tamil                      1,181
  9   Filipino                          9   Greek                      1,114
 10   Portuguese                       10   German                     1,040

                                            Indigenous                   112
                                            languages
Source: Manifold Data Mining Inc., February 2020.

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Labour Force Analysis
A component of Whitby’s overall economic position is its labour force profile, which encompasses a review
of the composition by industry and occupation.
The following table indicates Whitby’s labour force concentration in comparison to the Province of Ontario.
The largest concentration of our residents are in:
      Professional, scientific and technical, administrative, waste management services
       (9,478 residents)
      Retail trade (8,864 residents) and
      Health care and social assistance industries (7,697 residents).
However, when the proportion of the labour force in industry is compared to the Province of Ontario,
Whitby’s labour force is proportionately higher in:
      Utilities and construction (7,481 residents, or 9% of the labour force)
      Finance, insurance, real estate and leasing (7,581 residents or 9% of the labour force) and
      Educational services industries (6,957 residents or 9% of the labour force).
The higher proportions of people employed in these industries is likely driven by the proximity to Ontario
Power Generation (Pickering in Clarington), the Downtown Toronto Financial Services Hub and Ontario
Tech University, Durham College and Trent University Durham campuses (Oshawa and Whitby).

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Figure 1.5: Labour Force by Industry, 2019
                                                               Whitby       Ontario
 Labour Force by Industry                                   Total      % of     % of       Whitby's
                                                                      Total    Total   Labour Force
                                                                                         Proportion
 Agriculture, forestry, fishing, hunting, mining, etc.      655        1%        2%          Lower
 Utilities and construction                                7,481       9%        7%          Higher

 Manufacturing                                             5,781       7%        9%          Lower

 Wholesale trade, transportation and warehousing           6,373       8%        9%          Lower

 Retail trade                                              8,864      11%      11%            Even

 Information and cultural industries                       2,610       3%        3%           Even

 Finance, insurance, real estate, and leasing              7,581       9%        8%          Higher
 Professional, scientific and technical, administrative,
                                                           9,478      12%      13%           Lower
 waste management services
 Educational services                                      6,957       9%        7%          Higher

 Health care and social assistance                         7,697      10%      10%            Even
 Arts, entertainment, recreation, accommodation and
                                                           6,205       8%        9%          Lower
 food services
 Other services (except public administration)             2,905       4%        4%           Even

 Public administration                                     4,994       6%        6%           Even

 Industry - not applicable                                 2,228       3%        3%           Even

Source: Manifold Data Mining Inc., February 2020.

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The following table examines the composition of the labour force by occupation in Whitby and Ontario.
The largest concentration of the labour force are in sales and service occupations (17,461 residents), but
this proportion (22%) is slightly lower than the provincial average (23%).
There are three occupational groups in Whitby that have larger concentrations than the Province of
Ontario. These groups are:
      Management (10,445 people in the labour force, or 13 % of the labour force)
      Business, finance and administration (13.319 people or 17%)
      Education, law and social, community and government services (10,784 people or 14%).
There is a great deal of diversification among all of the occupations in Whitby as all the occupations are
within two percentage points compared to Ontario. There is a higher tendency of Whitby residents to be
employed in professional occupations such as management, business, finance, education and legal
services.

Figure 1.6: Labour Force by Occupation, 2019
                                                                   Whitby       Ontario
 Labour Force by Occupation                                      Total     % of     % of     Whitby's
                                                                          Total    Total      Labour
                                                                                               Force
                                                                                           Proportion
 0 Management                                                  10,445       13%        11%    Higher
 1 Business, finance and administration                        13,319       17%        16%        Higher

 2 Natural and applied sciences and related                     5,654        7%         7%         Even

 3 Health                                                       4,515        6%         6%         Even
 4 Education, law and social, community and government
                                                               10,784       14%        12%        Higher
 services
 5 Art, culture, recreation and sport                           2,601        3%         3%         Even

 6 Sales and service                                           17,461       22%        23%        Lower

 7 Trades, transport and equipment operators                    9,329       12%        13%        Lower

 8 Natural resources, agriculture and related production        1,069        1%         2%        Lower

 9 Manufacturing and utilities                                  2,727        3%         5%        Lower

Source: Manifold Data Mining Inc., February 2020.

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The following figure identifies that employment grew in Whitby from 33,610 jobs in 2011 to 36,595 jobs
by 2016, for an average employment growth of 1.8%. In comparison, the population grew from 122,022
residents in 2011 to 128,377 resident by 2016, for an average growth of 1.0%. This metric indicates that
Whitby has been able to generate employment growth at a higher rate than population growth.

Figure 1.7: Employment Growth, 2011-2016

                  140,000                                       128,377
                                     122,022
                  120,000

                  100,000
  No. of People

                   80,000

                   60,000

                            33,610                     36,595
                   40,000

                   20,000

                       0
                                2011                        2016
                              Employment       Population

Source: Statistics Canada, 2011 National Household Survey and 2016 Census. Catalogue Number 98-
400-X2016325

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 Economic Recovery Plan 2020-2021
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The following figure examine the highest educational achievement for the labour force in Whitby in
comparison to the Province of Ontario. Although the trends for Whitby are very similar to the Province,
there is a larger portion of the labour force with a college or related diploma (30% versus 25% for the
Province) and a Bachelor’s degree (23% versus 21% for the Province). These results indicate that the local
labour force is highly educated with specialized skill sets. This labour force offering adds to the local value
proposition for businesses being located in Whitby.

Figure 1.8: Highest Educational Attainment, 2019

  University      Degree in                            No certificate,                               Degree in    Province of Ontario
                                Town of Whitby
 certificate or   medicine,                             diploma or                                   medicine,
   diploma         dentistry,                             degree                                     dentistry,
    above         veterinary                                6%                                       veterinary
   bachelor       medicine or                                                          University medicine or
     level        optometry      Master's                                             certificate or optometry     Master's
      2%             1%          degree or                                              diploma         1%         degree or No certificate,
                                                                                         above
                                 doctorate                                                                         doctorate diploma or
                                   6%                                                   bachelor                      8%        degree
                                                                                          level                                  10%
                                                                                           2%
                                                   High school
                  Bachelor's                       certificate or
                   degree                                                                            Bachelor's                         High school
                                                    equivalent
                    23%                                                                               degree                            certificate or
                                                       25%
                                                                                                       21%                               equivalent
                                                                                                                                            24%

                                    College,                                                                          College,
                                CEGEP or other                                                                    CEGEP or other
     University                  non-university                                            University              non-university
    certificate or                certificate or                    Apprenticeship        certificate or            certificate or
   diploma below                    diploma                           or trades          diploma below                diploma
   bachelor level                     30%                            certificate or      bachelor level                 25%
         2%                                                                                                                                       Apprenticeship
                                                                       diploma                 2%
                                                                                                                                                    or trades
                                                                          6%                                                                       certificate or
                                                                                                                                                     diploma
                                                                                                                                                        6%

Source: Manifold Data Mining Inc., February 2020.

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 Economic Recovery Plan 2020-2021
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